PUC: BTL Holds Market Dominance 

Belize Telemedia Limited (BTL) holds market dominance in all retail and wholesale telecommunications markets examined by the Public Utilities Commission, according to a final determination published March 10.

The ruling follows a consultation process that began February 2 and drew submissions from Speednet Communications Limited, the Belize Cable TV Operators Association, the Young Leaders Alliance of Belize, and private citizen Anwar Juan. Belize Telemedia Limited (BTL) did not make a submission.

“The absence of a submission from any particular licensee does not affect the Commission’s statutory duty to conduct an independent, evidence-based, and forward-looking assessment under the Act,” the document states.

The PUC launched this investigation more than a year ago. But the finding lands in the middle of a weeks-long firestorm over BTL’s proposed $80 million purchase of Speednet, a deal that would leave Belize with effectively one telecom provider.

What the Law Says

The Commission applied section 42 of the Belize Telecommunications Act, which defines market dominance as “a position of economic strength enabling it to behave, to an appreciable extent, independently of competitors, customers, and consumers.”

Both Speednet and BCTVOA supported the preliminary finding that BTL holds dominant positions across multiple markets.

What are the Markets Affected?

The PUC found BTL dominant in:

• Retail fixed voice services
• Retail mobile telecommunications services
• Retail fixed broadband internet access services
• Retail toll-free and inbound service number offerings
• Retail corporate or enterprise messaging services
• Retail international roaming services
• Wholesale call termination on the BTL network
• Wholesale call origination, conveyance, and transit services
• Wholesale fixed broadband access and local access services
• Wholesale leased lines and dedicated capacity services
• Wholesale international connectivity and transit services

Speednet Communications Limited, parent company of SMART, was found dominant in just one area: terminating calls on its own network.

 

 

Infrastructure concerns

BTL’s control of infrastructure, from fibre backbone to submarine cable landings, creates barriers that rival companies cannot economically replicate.

“Submissions broadly reinforced the structural factors identified in the Initial Determination, including the advantages associated with BTL’s nationwide fixed network infrastructure, the economies of scale arising from that infrastructure, and barriers to entry or expansion affecting potential competitors,” PUC reported.

Submissions pointed to challenges competitors face accessing infrastructure.

“In a small economy such as Belize, duplication of fibre runs, towers, sites, and associated facilities results in inefficient capital allocation,” Speednet submitted.

BCTVOA said dependence on backbone networks: “For BCTVOA members, access to backbone transport … is not discretionary – it is an indispensable input required to deliver downstream broadband and enterprise connectivity services.”

On international connectivity, BCTVOA stated, “ARCOS-1 functions as Belize’s principal – and effectively indispensable – international broadband gateway. There is no commercially viable alternative international landing facility available to independent operators.”

What happens next?

The PUC imposed obligations, including cost orientation, price regulation, non-discrimination requirements, accounting separation, and infrastructure access provisions. An interim tariff freeze takes effect while new regulations are developed.

Speednet endorsed the approach, submitting that “no additional remedy categories are required beyond those contemplated” and that the Commission’s task is to “apply them firmly, proportionately, and enforceably so that structural dominance is effectively corrected, thereby preserving incentives for efficient investment and sustainable competition.”

The obligations apply to BTL in all markets where dominance was found and to Speednet only for wholesale call termination services.

The Commission will monitor compliance and may review market conditions as they evolve.